Ethereum Is in a Sideways Trend

Technical indicators:

Market Cap, billion: $28.26

% chg. over the week: -2.45

% chg. over the year +2656

52 wk range: 5.86 - 412

According to LendEDU, the younger generation in the United States aged from 18 to 34 is much better informed in cryptocurrencies and more often invests in Bitcoin, Ethereum and other digital currencies. It should be recalled, that earlier CME Group (the North American operator of financial derivatives) announced plans to launch trading futures on Bitcoin. These events once again prove that cryptocurrencies may soon become not only an alternative to the paper money but also a full-fledged financial asset.

The current technical pattern on ETH/USD

Support levels: 280.00, 255.00

Resistance levels: 316.00, 344.00

During the last two weeks, ETH/USD is being traded in a flat. The technical pattern is ambiguous. For this period, the strong demand and supply zones were formed: 280.00-288.00 and 308.00-316.00, respectively. I would like to note that the demand for cryptocurrencies remains at a high level.

At the moment, the indicators point to the power of sellers. The price has fixed below 50 MA and 200 MA.

The MACD histogram has begun to decline and moved to the negative zone, which signals the sale of ETH/USD.

Trading recommendations

We recommend opening positions from the key levels. If the price fixes below 280.00, you need to look for entry points to the market to open short positions. The movement is tending to the support level of 255.00.

If the ETH/USD quotes overcome the resistance level of 308.00, the bullish sentiment may prevail on the trading instrument may be dominated by "bullish" sentiment. The movement is tending 340.00-350.00.

When tracking positions, one should use a trailing stop.

by
JustForex,
2017.11.07

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer,
and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.